It costs £42,500 to pay the average SEO person in the UK, by the time you include recruitment costs, NI, technology, software, bonuses and everything else you’re going to be at least £55,000 deep before you can start taking on SEO clients.
If you’re based in London your average SEO retainer will be worth about £3,000. That’s around double the national average, in reality you’ll probably be a lot lower than that before you starting getting a good rep.
Outside of London you’ll be doing extremely well to have an average customer value over £1,200 per month.
Let’s say your average retainer is £1,000 to make it simple, £12,000 per year.
So you’ll need 8 clients before you’ll earn a single penny by the time you include corp tax and the like.
Salaries – £45,000
Software and Tech – £5,000
Employment Costs – £5,000
SEO Costs – £2,000
Bonus – £2,000
That’s about £70,000 if my maths is better than my year 4 teacher said it would be.
Starting to add up isn’t it.
Now, you’ve got your 8 clients all paying £12,000 a year – magically they all started as soon as you opened your doors – this is fiction after all.
So, you’ve got your £96,000 at the end of the year, go you!
Say “hello tax man” and you’re basically working for free.
Assuming you’re weighing up whether to outsource your SEO to a white label provider like us VS doing it all in-house let’s run the numbers for the other option.
Making the same assumptions as above, let’s say you outsourced all of your 8 clients to us.
Our services are designed to be sold at up to five times our wholesale price, so each of those £1,000 per month. So, you’ll fit nicely in to our £100 per week packages.
£600 per month clear profit per client, £4,800 per month, the best part of £60,000 per year profit and you don’t really have to do anything.
Other than some basic comms and some strategy/implementation time – which you’d have to do in both situations anyway – the difference is clear.
We’ve been in the SEO industry for nearly 15 years, as consultants, bespoke agencies and in house teams. We’ve focused on delivering high value campaigns at low cost and we’ve travelled the world organising it.
At one point we had over 100 full time staff over 4 continents helping us manage our clients.
We’re specialists at SEO, processes and streamlining to deliver quality cheaply. We’re also a small, efficient outfit with many of the high cost elements replaced with low cost IP that we’ve built ourselves.
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